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American Air Asks Workers
To Forgo Pay Raises in 2003

AMR Corp.'s American Airlines asked employees to forgo pay raises next year as part of an effort to cut $3 billion to $4 billion in costs to stem huge losses at the world's largest airline.

AMR said it would save $130 million annually by freezing its scheduled wage increases. It said pay also would be frozen for management and nonunion employees. The Fort Worth, Texas, company said the move was a stopgap measure while it seeks more permanent restructuring.